Dangote petroleum refinery, which has a capacity of 650,000 barrels per day (bpd) being promoted by Africa's richest man, Aliko Dangote, sits on 2,635 hectares of land in the Dangote Industries Free Zone in Ibeju-Lekki, Lagos, and would employ over 100,000 people.
The start-up of the massive project is intended to signal Nigeria's departure from the league of oil-rich nations that are significant importers of petroleum products.
Apart from foreign dignitaries, President of Togo, Gnassingbé Eyadéma; Ghana's Nana Akufo-Addo; Senegal's Macky Sall; Niger Republic's Mohamed Bazoum; and Chad's Mahamat Déby are all anticipated to attend the historic occasion.
Rwandan President Paul Kagame, who will not be present in person, will send a virtual word of goodwill.
As of the time of writing, all 36 state governors and the majority of governors-elect, ministers, senators, and captains of industry in Nigeria and others from outside the country, global oil traders, top international bankers, and international multilateral agencies had indicated their willingness to attend the ceremony.
The celebration is anticipated to be attended by Nigeria's president-elect, Bola Ahmed Tinubu, whose administration as governor of Lagos in 2002 launched the Free Trade Zone in Ibeju-Lekki, where the Refinery is located.
The Dangote Petroleum Refinery's commissioning is important since it is the first time a refinery of this size built by an individual has been opened.
Dangote's petroleum refinery is planned to cover the needs of Nigerian consumers as well as those of neighboring countries, while also enabling for exports outside of the African continent. Because over 50 countries in the trading bloc rely on imported refined petroleum products, the refinery will help to promote the African Continental Free trading Area (AfCFTA).
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In accordance to the Facts Sheet on Dangote Petroleum Refinery, the new Refinery will be able to meet 100% of Nigeria's refined product requirements (Gasoline, 53 million litres per day; Diesel, 34 million litres per day; Kerosene, 10 million litres per day; and Aviation Jet, two million litres per day) while also having an extra supply of each of these products for export.
"The refinery was constructed to process 100% Nigerian crude while also having the flexibility to process other crudes." It boasts a self-sufficient marine facility with freight optimization capabilities, as well as the world's largest single order of 5 SPMs. The refinery's diesel and gasoline products will meet Euro V requirements.
"The refinery structure meets World Bank, US EPA, European emission standards, and Department of Petroleum Resources (DPR) emission/effluent standards." Cutting-edge technology. "Developed to process a wide range of crudes, including many African crudes, some Middle Eastern crudes, and US light tight oil," according to the Facts sheet.
It also says: "65 million cubic meters of sand dredged at a cost of approximately 300 million euros, using the world's largest, second largest, and tenth largest dredgers to elevate the height by 1.5 meters, to protect against any potential impact of mean sea level rise due to global warming." Over 1,209 units of varied equipment were purchased to increase local capability for site work.
"332 cranes to increase capacity for equipment installation." Constructed the world's largest granite quarry to provide coarse aggregate, stone column material, stone base, stone dust, and break water material. (10 million tonnes of production capacity per year).
"Developed a port and built two quays with a load carrying capacity of 25 tonnes per square metre to bring Over Dimensional Cargoes directly to the site." In addition, the corporation built two further quays in the port with the capacity to handle up to Panamax vessels to export fertilizer and petrochemicals, as well as two quays to handle liquid cargoes. The port will thus include six quays, including a roll-on/roll-off quay," according to the document.
Furthermore, operators under the guidance of the Major Oil Marketers Association of Nigeria (MOMAN) and the Independent Petroleum Marketers Association of Nigeria (IPMAN) have compiled a list of critical requirements for the new largest oil refinery's survival.
Mr Clement Isong, Executive Secretary and Chief Executive Officer of MOMAN, stated that the Nigerian government will need to supplement the new refinery's opening with measures that ensure the country reaps all benefits.
Isong, who defined the new oil plant as a giant refinery, encouraged the federal government to reconsider its FX policy by implementing a single window.
Based on him, if the country wants to fully benefit from the refinery, the government must provide pricing visibility as well as openness in the management of forex policy.
He stated, "The government's forex policy must shift toward a single window." According to the World Bank and others, several windows, in addition to the lack of transparency they provide, discourage people from bringing their dollars to the country.
"The government must resolve the currency issue and determine what is best for the country."
With the current implementation of the Petroleum Industry Act (PIA), Isong stated that the products will be sold at market prices in order to support the refinery.
According to him, this suggests that subsidies will be phased out.
"These are some of the key policies that must be implemented if Nigeria is to fully capitalize on this fantastic opportunity," the report says.
In late 2013, Dangote revealed that his business had inked an initial $3.3 billion financing agreement with local and global banks to fund the construction of a new oil refinery in Nigeria.
The refinery was originally scheduled to begin production in 2016, but plans to expand its capacity and a relocation to a 2,500-hectare site on the outskirts of Lagos pushed the completion date to late 2019, 2020, with production beginning in the second quarter of 2023.
Aliko Dangote, Africa's richest man, founded the Dangote Refinery.
The Refinery's 435 MW Power Plant alone will be able to supply Ibadan DisCo's total power consumption of 860,316 MWh across five states which are Oyo, Ogun, Osun, Kwara, and Ekiti.
Professor Adesoji Adesugba, Managing Director of the Nigerian Export Processing Zones Authority (NEPZA), has also congratulated Alhaji Dangote on the successful completion of the Lagos refinery.
Adesugba characterized the massive investment in the Dangote Refinery, one of Nigeria's major free trade zones, as patriotic during a weekend speech in Abuja.
He stated that the multibillion-dollar investment demonstrates how far a Nigerian billionaire investor will go to give his quota to alleviating the country's energy crisis.
Adesugba explained that the Dangote Free Zone, under the watchful eye of NEPZA, has effectively left the country with an enviable global energy infrastructure.
According to a statement issued by Martins Odeh, the NEPZA chief executive officer, local investors should follow Dangote's lead and explore the market.
"On behalf of myself, the authority's management, and the entire management and staff of the Dangote Free Trade Zone, I congratulate Alhaji Aliko Dangote and the entire management and staff of the Dangote Free Trade Zone on the completion and commissioning of the Dangote Refinery."
"I would also like to congratulate President Muhamadu Buhari GCFR on his commitment to delivering a competitive free trade zone scheme for Nigeria."
He urged state governments that had yet to join the system to do so as soon as possible, adding that the freezone scheme was the only feasible tool the sub-nationals had for attracting investment and growth during their limited tenures.
According to a statement issued by Martins Odeh, the NEPZA chief executive officer, local investors should follow Dangote's lead and investigate the free trade program.
